Italy spends 15% of GDP on old-age pensions and support (double the US), faces a very low fertility rate (1.3 TFR), and cannot escape this fiscal trap through growth alone, as demographic decline will worsen the age pyramid; eventually, welfare state restructuring will be necessary even if politically unimaginable currently.
factualpending
Speaker
Kenneth RogoffEvidence Quote
“they spend a mindnumbing 15% of GDP on old age uh pensions and support”
Source
Kenneth Rogoff on Monetary Moves, Fiscal Gambits, and Classical Chess | Conversations with Tyler— Mercatus CenterCreated: 8/11/2026, 7:10:38 AM
My Notes
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